Selected data concerning the past year’s operations of the Ozarks Manufacturing Company are as follows: Inventories
Beginning Ending
Raw material $ 61,000 $ 81,000
Work in process 80,000 30,000
Finished goods 90,000 110,000
Other data:
Direct material used $ 326,000
Total manufacturing costs charged to production during the year (includes direct material, direct labor, and manufacturing overhead applied at a rate of 60% of direct-labor cost) 686,000
Cost of goods available for sale 826,000
Selling and administrative expenses 30,500
Required:
1. What was the cost of raw materials purchased during the year?2. What was the direct-labor cost charged to production during the year?3. What was the cost of goods manufactured during the year?4. What was the cost of goods sold during the year?

Powell company began the 2018 accounting period with $40,000 cash, $86,000 inventory, $60,000 common stock, and $66,000 retained earnings. during 2018, powell experienced the following events: sold merchandise costing $58,000 for $99,500 on account to prentise furniture store. delivered the goods to prentise under terms fob destination. freight costs were $900 cash. received returned goods from prentise. the goods cost powell $4,000 and were sold to prentise for $5,900. granted prentise a $3,000 allowance for damaged goods that prentise agreed to keep. collected partial payment of $81,000 cash from accounts receivable. required record the events in a statements model shown below. prepare an income statement, a balance sheet, and a statement of cash flows. why would prentise agree to keep the damaged goods?